{"id":30095,"date":"2018-01-24T07:59:53","date_gmt":"2018-01-24T12:59:53","guid":{"rendered":"http:\/\/olduvai.ca\/?p=30095"},"modified":"2018-01-24T07:59:53","modified_gmt":"2018-01-24T12:59:53","slug":"can-we-stop-the-government-borrowing-just-print-without-inflation","status":"publish","type":"post","link":"https:\/\/olduvai.ca\/?p=30095","title":{"rendered":"Can We Stop the Government Borrowing & Just Print Without Inflation?"},"content":{"rendered":"
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Can We Stop the Government Borrowing & Just Print Without Inflation?<\/a><\/h3>\n<\/div>\n
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The conservatives<\/strong><\/a> are going nuts about raising the debt ceiling as if this\u00a0really matters. They claim: \u201cThe United States is effectively bankrupt, but that doesn\u2019t matter to the GOP. Once evangelists of fiscal responsibility and scourges of deficit spending, Republicans today glory in spilling red ink. The national debt is now $20.6 trillion, greater than the annual GDP of about $19.5 trillion. Alas, with Republicans at the helm, deficits are set to continue racing upwards, apparently without end.\u201d<\/p>\n

What they fail completely to grasp here is until the system is completely revamped and we adopt the way the Roman Empire was funded from 280BC to 68AD, just creating the money to fund the government instead of borrowing it, there is no hope in solving this issue.\u00a0In a recession, Keynes argued borrowing can be beneficial in creating economic stimulus and shortening the recession. Governments used that statement to then perpetually borrow year after year.<\/p>\n

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In 1940 a Cadillac sold for $1675. Currently, the low-end Cadillac is $35,000. This is almost 21 times the 1940 price level. The US national debt was $51 billion before the war and it is now $20 trillion. The debt has risen 392% compared to 20.89% for a Cadillac. The minimum wage in 1940 was 30 cents per hour. Today, the minimum wage is\u00a0$10.10 per hour in 2018, which is a rise of 33.6%. However, if we look at collectibles, the famous 1804 silver dollar sold for $30,000 around 1940. In 1999, one sold for\u00a0$4.14 million. Here we had an advance of 138%.<\/p>\n

\"\"<\/a>Then there was the Peter Paul Rubens<\/strong>which just sold for $58 million<\/strong><\/a> in 2016. The owners had tried to sell during the Great Depression. Nobody was interested. They then lent to a monastery where it hung in a hallway for 20 years. Other than that exception, nothing has advanced in proportion to the national debt.<\/p>\n

…click on the above link to read the rest of the article…<\/p>\n<\/div>\n<\/div>\n<\/div>\n","protected":false},"excerpt":{"rendered":"

Can We Stop the Government Borrowing & Just Print Without Inflation? The conservatives are going nuts about raising the debt ceiling as if this\u00a0really matters. They claim: \u201cThe United States is effectively bankrupt, but that doesn\u2019t matter to the GOP. Once evangelists of fiscal responsibility and scourges of deficit spending, Republicans today glory in spilling […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"footnotes":""},"categories":[2],"tags":[5496,195,18111,426,5479,538],"class_list":["post-30095","post","type-post","status-publish","format-standard","hentry","category-economics","tag-armstrong-economics","tag-debt","tag-government-borrowing","tag-inflation","tag-martin-armstrong","tag-money-printing"],"_links":{"self":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/30095","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=30095"}],"version-history":[{"count":1,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/30095\/revisions"}],"predecessor-version":[{"id":30096,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/30095\/revisions\/30096"}],"wp:attachment":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=30095"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=30095"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=30095"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}